Tamworth petrol prices: city's bowsers state's third cheapest as region beats city in petrol price war

Statistics shared by the NRMA on Tuesday show the city's average price-per-litre for unleaded petrol of just 117 cents was third-cheapest in NSW in 2020.

Only in Muswellbrook (116.7 cents) and Weddin (112.7 cents) did motorists find a cheaper average litre of petrol. Freemans Waterhole and Lithgow were also in the bottom five.

Last year was a good one for motorists, with international petrol prices plummeting off a cliff in early 2020, as a wave of coronavirus lockdowns enormously slashed global demand.

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At the trough, prices hit just 0.65 cents a litre.

The average national price has since recovered to about $1.20 a litre.

But despite the boon, Sydney prices for 2020 sat at about 122.9 cents a litre. In Newcastle, drivers paid an average of 122.1 cents.

In Armidale motorists bought petrol for an average of 121.5 cents, Quirindi 119.6 and Gunnedah 119.9.

That's despite the added shipping cost of transporting petrol from Newcastle to the New England North West region.

Gunnedah petrol station owner Rodney Hope said the region's cheap prices came down to healthy competition between sellers. Three new stations have opened up in Gunnedah in the last few years, he said, and business rent is also cheaper.

"It is very competitive in Gunnedah because there are a lot of service stations," he said.

"Compared to the number we had say five to six years ago, we've got another three or so new sites just in Gunnedah alone.

"The litres in Gunnedah haven't grown, so everybody's competing for the same litres."

Mr Hope tipped that prices have hit a peak and will ease over the next few weeks.

NRMA spokesperson Peter Khoury blamed metropolitan price fluctuation for the pricier-than-average rates in the big cities. Regional prices tend to be far more stable, he said.

That means smart drivers can save real money.

"It's not uncommon for motorists to fill up at a service station, only to find a cheaper price in the next town," he said.

"Using the myNRMA App before you fill up is the single best tool at motorists' disposal to beat unnecessarily high petrol prices."

The most expensive petrol in NSW was sold in the Central Darling (143.9 cents), Blue Mountains (139.4 cents), Bega (134.4 cents) and Bourke (133.4 cents).

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